Presentation by Emilios and Alexis, co-founders of Hellas Direct, to a number of Wharton undergraduate students, visiting Greece as part of the Wharton International Program. [Athens - 27 May 2014]

1. STARTING A CAR
INSURANCE
COMPANY
IN GREECE
LAUNCHING A START-UP
AT A TIME OF CRISIS
WHARTON
INTERNATIONAL PROGRAM
MAY 2014

2. ¡ A NEW, DIRECT INSURANCE COMPANY IN GREECE.
¡ “CHANGING THE GREEK INSURANCE MARKET, ONE POLICY AT A TIME”.
¡ WE ARE HIGHLY SPECIALISED.
¡ WE LIVE AND BREATHE TECHNOLOGY.
¡ WE LOVE NUMBERS.
¡ WE SERVICE THE CONSUMER, NOT THE BROKER!
¡ 32 PEOPLE IN 3 COUNTRIES.
¡ A LONG JOURNEY: 3 YEARS FROM START TO OUR FIRST SALE.
¡ RAISED EUR 12M FROM A GROUP OF ANGEL INVESTORS.
HELLAS DIRECT: OUR STORY.

3. PRE-SEED SEED ROUND I
CUMULATIVECASHFLOW
ROUND II ROUND III ROUND IV
ANGELS
<EUR 100k EUR 500k-1m EUR 1-5m EUR 5-10m
8-10 YEARS
1/3
IPO
EUR 100-500k
‘VALLEY OF
DEATH”
xx
EARLY-STAGE LATE-STAGE
1/2 2/3 4/5
EXPANSION FOLLOW-ON
EUR 30-50m EUR 50m>
GROWTH
EUR 10-30m
BREAK
EVEN
START-UP
SURVIVAL
RATE
THE ‘WHAT THE FUCK’CHART OF THE DAY.
ENTREPRENEURS LIVE IN A REALITY DISTORTION FIELD.

4. WHY
GREECE?
A SCREWED UP COUNTRY:
GREECE IS RUN BY CROOKS
AND INCOMPETENT
POLITICIANS.
A RESET OPPORTUNITY:
GOING THROUGH A HUGE
TRANSFORMATION.
LARGE ENOUGH:
A MARKET OF 11M PEOPLE.

5. WHY CAR
INSURANCE?
OBLIGATORY BY LAW:
EUR 2BN MARKET SIZE.
LETHARGIC COMPETITION:
HIGH COSTS AND
INEFFICIENCIES.
MIDDLEMAN IS STILL KING:
OBSENE COMMISSIONS.

6. WHY
NOW?
STRUCTURAL CHANGES:
TROIKA INTRODUCED
BETTER REGULATION.
STRONGER DEMAND:
TECHNOLOGY FUELLING
THE RISE OF THE
CONSUMER.
DROPPING COSTS:
THIS IS THE BEST TIME
TO BUILD A BRAND.

7. CHALLENGES
THREE
BIG

8. SECURE (REAL) FUNDING.

9. 2,500 APPROACHES
300 MEETINGS
11 INVESTORS
1.5 YEARS
FINDING INVESTORS WASN’T EASY …
1 IN 8
1 IN 27

10. 99.56%
REJECTION
RATE.
THERE IS A HIGHER
CHANCE OF BETTING
ALL YOUR MONEY ON
BLACK IN A LAS VEGAS
ROULETTE AND
WINNING…
… 7 CONSECUTIVE
TIMES!
… AND THE ODDS WERE NOT ON OUR SIDE.

11. BUILD A GREAT COMPANY.

12. INVEST IN TECHNOLOGY.
ALGORITHMIC PRICING.
CLOSE TIES WITH
ACADEMIA.
KEEP INNOVATING:HIRE THE BEST:
INTELLIGENCE.
PASSION.
A DRIVE TO MAKE
THINGS BETTER.
GET LICENCED:
A YEAR OF PAPERWORK.
DETAILED BUSINESS
PLANNING.
LATEST EU
REGULATIONS.
THREE BASIC INGREDIENTS NEEDED.

13. GET YOUR MESSAGE OUT.

14. APPEAL TO THE INNOVATORS FIRST.
NOT EVERYONE WILL GET IT – TARGET YOUR TRIBE FIRST!
Word of
Mouth

15. “SHAKEN NOT STIRRED”.
RUSSIAN
INVESTOR.
ATHENS, GREECETEL AVIV, ISRAEL
“HAPPY HANNOUKAH”.
ISRAELI
INVESTOR.
LONDON, UK
“PRESS 4 FOR HELP”.
SOUTH AFRICAN
INVESTOR.
SOME DAYS ARE TOUGHER THAN OTHERS.

16. SELECTED AS
ENDEAVOR
ENTREPRENEURS
IN 2012.
WON FOUR
E-VOLUTION
AWARDS
IN 2013 AND 2014.
CHOSEN AS A
BEST PLACE
TO WORK
IN 2014.
THE LITTLE THINGS MAKE IT ALL WORTHWILE.

17. THANK
YOU!
WWW.HELLASDIRECT.GR
ALEXIS.PANTAZIS@HELLASDIRECT.GR
EMILIOS.MARKOU@HELLASDIRECT.GR